Alberta's 'shock absorber' budget
The largest deficit in Alberta's history.
A $6.1-billion consolidated deficit is not what the new NDP government was hoping its first budget would include, but Finance Minister Joe Ceci believes a massive decline in oil-related revenues left him little choice.
"We think it's the right budget for these times." Ceci told CBC Radio's The House.
"We're in a floor time in Alberta as everybody knows. Our oil and gas sector, energy investment, everything is down, and we need to be a hand to stimulate the economy."
Brian Jean, leader of the Official Opposition Wildrose Party, called the budget a "complete fantasy" and said "every Albertan will be poorer because of this budget."
Jean accused the NDP of using "risky economic theories" and raising taxes that are affecting every person in the province.
Fingers crossed for higher oil prices
The Alberta budget assumes oil prices will average $50 US this fiscal year, then $61 US in 2016-217, and $68 in 2017-18.
The so-called forward strip, the U.S. futures contracts on which traders and energy companies alike depend when making investment decisions, assumes the U.S. crude benchmark will be $55.43 US in December 2018, $13 US lower than the province assumes.
Ceci acknowledged the province may need to review its numbers.
"If we need to change our forecasts, we have to do that, of course," Ceci told host Chris Hall.
"I do believe that oil is going up, I don't think it's going to stay flat or go down."